Preparing for Retirement
Tips and tricks on the things you need for a smooth transition into retirement.
Retirement is a big life step, it can be a big change on a number of fronts.
From the basic, where you spend your time, to the complex, where you get your money.
Here are the things that we think, everyone should consider, before they retire.
So when the time comes you’re ready to enjoy your retirement.
Your Retirement Plan
What sort of lifestyle do you have now?
Calculate your annual income and your expenses. Consider the difference between the two and what aspects of your current lifestyle will not apply in retirement. This can include anything, from your transit costs, to your work attire and maintenance, mortgages, hobbies and more. We recommend discussing this with your financial adviser. They can assist with the calculations for you and will have insights and considerations that can help you streamline your plan.
How will your lifestyle change in retirement?
Do you intend to travel? Retire to the country? Do philanthropic work? Spend time with your grandkids? Maybe all of the above. Know how you want to spend your golden years so you can work out what you will need to achieve. We recommend a discussion with your financial adviser regarding retirement income. They will be able to discuss the options with you so that your retirement goals are achievable.
Do you know how much superannuation you have?
Make sure you know what you already have aside for retirement. Find out how much superannuation you have available and how different that number is from the amount you think you will need in retirement. Your financial adviser will be able to discuss superannuation growth and investment options, as well as if you would benefit from a Self Managed Super Fund (SMSF). The earlier you start working on this the more time you have to accumulate a strong nest egg for your golden years.
How will you meet your income needs in retirement?
Do you intend to rely entirely on your superannuation? Work part time? Earn passive income from an investment portfolio? Invest in property? Whatever you want to do, ensure you know exactly how it will operate. A financial adviser can assist you in setting up a balanced and goal appropriate retirement income source. They can help you with the appropriate income amounts for your goals, and the most efficient ways to achieve retirement income.
When do you want to retire?
Be it next year or next decade, almost everyone wants to retire eventually. Having a plan for when and how you retire can help you to be prepared. You can also wind down to partial retirement before you retire completely. Knowing when, helps you know how, and ensures that you have a system in place when you are ready to retire.
What if you never want to retire?
Many people don’t plan to stop working, they do however want to get to a point where they don’t have to keep working. They often enjoy their job and don’t want to give it up, however working for the joy of working and working out of necessity is an important distinction. A financial adviser can work with you to ensure that your finances support your lifestyle, so that continuing work is your choice, not a financial obligation.
Whatever your retirement holds, be sure to plan it.
Tupicoffs specialises in whole of life financial planning. We help our clients with everything from investment advice to retirement planning.
If you want a smooth, stress free transition into retirement, we can help.
